1:2 Split + Rs 21.20 Dividends: Not IRFC Or RVNL, But This Railway Stock Is Technical Pick, Buy For Rs 2100 TP

A railway stock has started to see bullish trend after decent correction in 2025. And December 22nd was no different, as this railway PSU stock skyrocketed by over 6.1% and crossed Rs 1,800 levels. Following the positive candle in this railway giant, brokerages have recently recommended BUY and the latest to do so is PL Capital. Who is this railway company?

Its neither IRFC or RVNL who are the two largest railway PSU companies in the railway segment. It is instead BEML Ltd, a stock trading around Rs 1,800, who is engaged in diverse businesses including railways and defence.

BEML is among the top tier railway and defence companies of India with a market value nearing Rs 14,971 crore.

BEML Ltd Share Price:

After rising by 6.1% and hitting an intraday high of Rs 1808.45 apiece on BSE, BEML share price closed at Rs 1797.45 apiece with an upside of a whopping Rs 77.30 or 4.5%.

YTD, BEML share price is however down by 13% on BSE. The stock's 6-monthly and 1-monthly performance is also down by 25% and 1.3% on the exchange.

Hence, BEML has consolidated significantly. This is why, analysts believe there is a buying opportunity.

BEML Share Price Recommendation:

According to K V Shiju, Senior Manager - Technical Research at PL Capital Group - Prabhudas Lilladher, BEML stock after having witnessed a decent correction has shown signs of bottoming out near the 1650 zone and has indicated a pullback with currently having positive candle formation on the daily chart to improve the bias.

In his note dated December 22, Shiju added, "The RSI has indicated a positive trend reversal to signal a buy from the highly oversold zone with much upside potential visible."

With the chart technically looking good and at an attractive level, Shiju added, "we suggest to buy the stock for an upside potential target of 2100 level keeping the stop loss of 1620 level."

PL's buy recommendations come after Elara Capital set Rs 2,700 target and retained its BUY recommendation.

Analysts at Elara said, "BEML's revenue is likely to enter a two -digit growth trajectory from FY27 as a large portion of its orderbook of Rs 160 billion, primarily comprising from railway & metro (R&M) and defence, would see strong execution momentum."

However, Elara's analysts also added, "We lower our FY2 6E EPS by 2%, by 6% for FY27E and 5% for FY28E on account of delay in execution of the VB sleeper and Mumbai metro orders . Hence, we lower our TP to Rs 2,700 from Rs 2,780 on 3 7x ( unchanged ) September FY2 7E P/E. However, w e retain Buy, due to strong order visibility in R&M and defence, scaling up export s opportunity in high -end mining equipment , providing scope for margin improvement and focus on new areas , such as Advanced Medium Combat Aircraft (AMCA ), maritime trains and engines."

BEML Ltd Corporate Action:

Among the latest rewards, BEML has carried one stock split and paid three dividends in 2025.

Stock Split: The last big corporate action was a stock split of 1:2 ratio with ex-date on November 3, 2025. The face value of BEML shares split to Rs 5 each from earlier Rs 10 each.

Dividends: BEML delivered a total of Rs 21.20 per share dividend for FY25. The dividends were divided by final dividend of Rs 1.20 per share in September 2025, following interim dividend of Rs 15 and Rs 5 per share in May and February this year. Overall, as per Trendlyne data, since September 2003, the company distributed at least 35 dividends.

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